News Release


Construction of New Production System

August 25, 2003

Responding to amendments to the Japanese Pharmaceutical Affairs Law related to the environment, Kyorin Pharmaceutical Co., Ltd. (President: Ikuo Ogihara) has considered constructing a scheme to produce high-quality pharmaceutical products more efficiently.

As a concrete measure, Kyorin has decided to construct a new international-standard drug production plant that satisfies Good Manufacturing Practices of the U.S. Food and Drug Administration within its Noshiro Plant to establish a scheme to efficiently produce large-scale products or high-technology products. Kyorin will also aim at realizing flexible operation by aggressively outsourcing small-scale products or technologically established products. As a result, Kyorin will transfer the production of the existing tablets, capsules, etc. at its Nogi Plant (Nogi-machi, Shimotusga- gun, Tochigi Prefecture) to the new plant or outsource them, and reduce the production capacity of the Nogi Plant from 2004 and close the plant in March 2006.

Kyorin will start construction of the new drug production plant at Noshiro in 2004 and start its operation in April 2006. Kyorin will invest about 8 billion yen as a capital investment for the construction. For the Okaya Plant, Kyorin intends to review part of its production items while continuing its production as in the past.

Kyorin will promote a stable supply of good and fine pharmaceutical products from the two plants, the Noshiro Plant and the Okaya Plant, from April 2006.

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